Firstly may I say welcome chelsea and congratulations on choosing the CKK forum for yojur inaugural HC post ;)
Regarding your point about the GT3000 not being "commercially ready" I read the following from Page 82 of the annual report;
"...which is currently subjected to testing and is not ready for commercial use at the date of this report.
The ability of the consolidated entity to realise the value of its Property, Plant and Equipment particularly the Capital Works in Progress balance, is subject to the successful testing, trial and commercialisation of the Group's Globe Drill technology. The recoverabliity of the Group's carrying value of capital works in Progress is dependant on the successful commercial exploitation of the assets..."
As a long term holder I've NEVER been under the impression that the rig has been FULLY tested in a commercial environment/sense. Indeed it's done a variety of testing and work (Merredin etc) but from an O & G perspective I believe the Whicher Range Energy job is its "Maiden Voyage" so to speak. The mineral work that it is soon to commence for NCM and the work last year for WPL in Karratha isn't O & G or deep hole work so in my humble opinion it doesn't count.
I believe this as taken from Page 5 of the annual report sums it up in essence;
"This business model has been tried and tested by a number of large cap mineral drilling companies in the shallow hole market and we are seeking to emulate that success in the more lucrative deep hole oil and gas type market."
The preceeding sentence to the above paragraph is the bit I like the sound;
"Our vision is to see the Company constantly locking down oil/gas/geothermal and other deep hole drilling contracts whist continuing to manufacture a fleet of ever improving rigs."
In my humble opinion, and I've been watching this company for a number of years now, Coretrack has never been in a better position to launch both its unique technologies/innovations and make its mark on the O & G/geothermal industry.
WC8
CKK Price at posting:
8.1¢ Sentiment: Buy Disclosure: Held
